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Betraying Brand Trust: Can Wells Fargo Recover After Widespread Fraud?
By: Bulldog Reporter
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There are PR crises, and then there are reputation s—storms. Chipotle, Subway and the NFL know well about the former. Volkswagen and now Wells Fargo could teach a course about the latter.

Wells Fargo, one of the country’s largest banks, has revealed it discovered widespread fraud perpetrated by employees seeking to increase sales, and thus bonuses. They created 1.5 million “ghost” accounts using real customers’ names, borrowing money from legitimate consumer accounts to do so. Then, since the customers were unaware, the bank hit them with overdraft and insufficient funds fees.

Yes, you read that right. Consumers were charged fees, on both their bank accounts and more than half a million fictional credit card accounts also applied for in customers’ names. All told, over two million accounts were created, by some 5,300 employees.

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This article was originally published on Bulldog Reporter. A link to the original post follows the article.

 
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